Housing costs leap by 36% for tenants - while falling 3.2% for owners since the finan

mystic_trev

The cost of owning a home has fallen since the financial crisis in 2008 while the cost of renting soars, official figures have revealed today.

Rising numbers of households are being forced to rent because they cannot afford to get on the property ladder.

Now, to make things even more difficult, new figures reveal that rental costs have risen by 36 per cent since the height of the credit crisis, while owners with mortgages to pay have seen their costs fall by 3.2 per cent.

The disparity means it will be even harder for renters to save up towards a deposit so that they can take a step on to the first rung.

http://www.dailymail.co.uk/property/article-3351288/Housing-costs-leap-36-tenants-falling-3-2-owners-financial-crisis.html

Luckily, our good friend Crashy hasn't seen his rent rise for over 12 years.

cells

its mostly a London problem and to a much lessor extent a south-east problem (and a few specific cities/towns)

3 regions of the UK prices are lower than they were 10 years ago and with mortgage interest at about half what it was it means those regions are a lot more affordable than they were a decade ago

stator

It's a South West problem too. Rents soaring.

Baby_Angel

When we bought the house 2 years ago we were stretching our limits on getting the deposit together. Eventually we did it and we have some debts due to that now on our credit cards. The last rent we paid was about £1200 for a 2 bed house in Greater London. Our mortgage was £1267 immediately after that. Now our mortgage is £1080 due to higher LTV. We have no charges for new agreements or fees for references that we have to fork out for estate agents every year.
To rent my house currently I will have to pay at least £1300. This is similar to everyone I know in my area.

mwpt

There are areas of affordability in London. Particularly if you're prepared to live in a very down market location. Dagenham for example. But, Dagenham will never be a Balham. The houses aren't the same quality and it's not in proximity to a bunch of decent areas. Balham was not highly regarded and was affordable 10 years ago I guess.

Aberdeenangarse

mwpt wrote: »

There are areas of affordability in London. Particularly if you're prepared to live in a very down market location. Dagenham for example. But, Dagenham will never be a Balham. The houses aren't the same quality and it's not in proximity to a bunch of decent areas. Balham was not highly regarded and was affordable 10 years ago I guess.

Dagenham's a right sh1thole!

Thrugelmir

Baby_Angel wrote: »

When we bought the house 2 years ago we were stretching our limits on getting the deposit together. Eventually we did it and we have some debts due to that now on our credit cards. The last rent we paid was about £1200 for a 2 bed house in Greater London. Our mortgage was £1267 immediately after that. Now our mortgage is £1080 due to higher LTV. We have no charges for new agreements or fees for references that we have to fork out for estate agents every year.
To rent my house currently I will have to pay at least £1300. This is similar to everyone I know in my area.

How much are you putting aside every month to maintain the property in the longer term?

Prothet_of_Doom

Aberdeenangarse wrote: »

Dagenham's a right sh1thole!

But affordable ?

caronoel

mystic_trev wrote: »

http://www.dailymail.co.uk/property/article-3351288/Housing-costs-leap-36-tenants-falling-3-2-owners-financial-crisis.html

Luckily, our good friend Crashy hasn't seen his rent rise for over 12 years.

Poor old crashy has gone very quiet

Out,_Vile_Jelly

I've been re-mortgaging this week. According to their valuation, my property has gone up a ludicrous 37% in the two years since I bought it, meaning I couldn't actually buy it now myself. The monthly mortgage payments for a two bed house with garden are lower than what I paid when renting a small one bed flat eight years ago.

This is in a scruffy part of London that I can't see ever being gentrified. I honestly don't see how it's sustainable. Obviously I am overpaying as much as possible each year.

MobileSaver

Thrugelmir wrote: »

How much are you putting aside every month to maintain the property in the longer term?

I suspect most home owners are like me and don't put anything aside every month for maintenance.

Despite what the HPC crowd would have you believe, in 30 years of home ownership I have never had to replace either a boiler or a roof.